Which of the following statements is true?

[armygirl]

Question 1

When the economy is in a slump, labor productivity tends to fall because firms have

◦ excess capital.
◦ excess labor.
◦ too little capital.
◦ too little labor.

Question 2

Which of the following statements is 
true?

◦ The long-run potential of the economy declines as output per worker falls during a recession.
◦ The long-run potential of the economy increases as output per worker rises during an expansion.
◦ The long-run potential of the economy increases as output per worker rises during an expansion, but the long-run potential of the economy doesn't change as output per worker falls during a recession.
◦ Changes in output per worker over the business cycle have nothing to do with the long-run potential of the economy.

[Juro]

A FREE account is required to view all solutions! Click to Register

Login with Facebook Login with Google Login with Email

Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.

Answer Preview

Only 39% of students answer this correctly

[armygirl]

TYSM

[Liddy]

Thanks for the timely response, appreciate it